- Are wealthier countries more digitalized? What is the relationship between status of economic development and financial digitalization?
2024-03-13
A digitalized financial system and electronic payments have the potential to contribute significantly to building a more resilient financial ecosystem in developing countries. This, in turn, can play a pivotal role in fostering economic development.
Increases account ownership through an enabling environment
Increases use of financial servieces: digital payments, borrowing & savings.
Building a more resilient financial ecosystem and improving financial well-being
In this visualization project, we leverage two key datasets. Our primary dataset is The Global Findex Database 2021, offering comprehensive country-level data on various financial indicators such as account ownership, payments, savings, credit, and more. Notably, the database reports indicators for the years 2021, 2017, 2014, and 2011. The second dataset we imported is GDP per Capita for the year 2017 downloaded from the World Bank.
We merged the two datasets by “year” and “country”.
The percentage of respondents who report using mobile money, a debit or credit card, or a mobile phone to make a payment from an account—or report using the internet to pay bills or to buy something online or in a store—in the past year.
The percentage of respondents above 15 years old who report having an account (by themselves or together with someone else) at a bank, credit union, microfinance institution, or post office that falls under prudential regulation by a government body.
The percentage of respondents who report personally using a mobile money service to make payments, buy things, or to send or receive money in the past year.
The percentage of respondents who report having access to the internet in a country.
The percentage of respondents who report using a mobile money account, a debit or credit card, or a mobile phone to receive a payment into an account in the past year.
The percentage of respondents who reports owning a credit card in the past year.
Income group is a categorical variable that classifies countries into high income, upper-middle income, lower-middle income, and low income.
Region is the continent the country is located in.
Economy is the name of the specific country.
The following shinyapp shows the relationship between percentage of population that has made/received a digital payment and percentage of population with an account at a financial institution. From the graph, we can observe that high income countries have a larger percentage with a financial account and a large percentage of involvement in digital payments.